India has missed RECP to protect the interests of major manufacturing industries such as textiles and steel. However, due to the impact of the new crown epidemic, many large-scale export-oriented textile companies in India cannot guarantee normal delivery. Clothing orders are returned to China, and the domestic textile industry has taken the lead. According to statistics from Tonglian, in the first three quarters of 2020, textile and apparel exports totaled US$215.78 billion, an increase of 9.3%.

　　 China and India, the two largest developing countries in the world, are also the most important textile bases in the world. After the new crown epidemic, the Indian textile industry suffered a severe setback. Chinese companies took advantage of the momentum to expand. Under the battle between the dragon and elephant, the global textile industry was undercurrent.

　　 India is the world's largest cotton producer, the world's largest jute producer, and the world's second largest silk producer. Its yarn production capacity accounts for 22% of the world. In 2019, the size of the Indian textile and apparel market is around US$250 billion. The textile and apparel industry is also one of India's largest sources of foreign exchange income, accounting for about 15% of India's total export income. India’s main advantage in the textile industry is that it can provide all types of natural and man-made fibers, as well as a large amount of cheap labor.

　　 Since the outbreak of the epidemic, India has not done well in prevention and control. From June to now, the number of cases has begun to increase exponentially. Data show that India has 44,376 new confirmed cases on November 25, a total of 9,266,705 confirmed cases, a total of 135,261 deaths, and a total of 8,679,138 cured.

　　The out-of-control epidemic has undoubtedly brought unprecedented pressure to India's labor-intensive industry—the textile industry. Since September, many large export textile companies in India have been unable to guarantee normal delivery due to the epidemic, and many orders originally produced in India have been transferred to China for production.

　　 At the same time, many Chinese textile companies have received a large number of orders from India, and the domestic textile industry has taken the lead.

　　Over the past five years, my country's textile and apparel industry exports have maintained steady growth as a whole, and the export value has remained above US$270 billion. In the first three quarters of 2020, textile and apparel exports totaled US$215.78 billion, an increase of 9.3%.

　　 In the first three quarters of 2020, my country's textile exports exceeded clothing exports for the first time. The growth of textile exports was mainly affected by the epidemic. The exports of anti-epidemic materials such as masks and protective clothing increased significantly.

　　 It can be seen from the Keqiao Textile Index that after July, the foreign trade prosperity index has risen rapidly, showing the booming demand from the international market.

From the perspective of the fundamentals of listed companies in the textile industry, operating income and net profit have increased significantly. Taking 10 listed textile companies as an example, according to statistics from Tonglian, the operating income of textile companies in the first three quarters of 2020 increased by 157.32 compared with the same period last year. %, net profit increased by 155.51% over the same period last year.

　　 Data from the National Bureau of Statistics show that in the third quarter of this year, the operating income of domestic textile enterprises above designated size increased by 5.28% year-on-year. In the first three quarters, the total profit of home textile enterprises above designated size increased by 20.14% year-on-year, with a profit rate of 5.07%; among them, the total profit in the third quarter increased by 45.68% year-on-year, with a profit rate of 5.99%. The total profit for the month of September increased by 120.61% year-on-year, and the profit margin reached 7.86%.

　　 If the epidemic in India still cannot be effectively controlled, Chinese textile companies will seize the opportunity to expand. The battle between dragon and elephant in the textile industry may give birth to unique opportunities.